USD/CAD: Short-Term Momentum is Improving
USD/CAD has bounced after testing the 200 day moving average. Monitor the resistance at 1.0358. A break of that level would open the way for a second leg higher towards the resistance at 1.0436. Hourly supports can be found at 1.0321 (intraday low) and 1.0275 (30/09/2013 low).
In the longer term, the key resistance at 1.0870 (02/11/2009 high and the long-term declining trendline from the October 2002 peak) is expected to cap the medium-term upside potential. Furthermore, a decisive break of the support area between 1.0246 (31/07/2013 low) and the long-term rising trendline (around 1.0200) would deteriorate the long-term technical structure.